How to enter the German market – the DFV at the British and International Franchise Exhibition in London

“Germany’s economy is vital and growing. The market is affected by high private and public consumption, a good opportunity for franchise-networks coming from abroad. The higher the uniqueness of these franchise-concepts, the higher is the attractiveness towards customers and prospect franchisees. And please pilot the franchise-concept before multiplication, analyze what has to be changed in the new market or not.”

These key messages I made yesterday in my presentation at the International Franchise Conference, which took place on the occasion of the Franchise Exhibition in London.

The climate for franchise-networks in Germany is excellent. The Franchise industry has been constantly developing and growing in the last years. It has taken a very positive and successful approach over the last ten years. The conditions for expansion therefore are good. But there is a challenge for all franchise-networks: the labor-market has been very stable in the last years. This is good for employees, they get secure and attractive jobs. In consequence the number of people dealing with the idea to start their own business (prospect franchisees) is relatively low. And there is a competition among franchisors concerning prospect franchisees. The experience shows that those franchise-networks succeed which have a clear defined and proven know-how as well as attractive unique selling propositions.

There is a huge chance for new and innovative concepts from abroad. We all should use our excellent international network to increase the exchange of information concerning the different markets. The DFV therefore has published guidelines for international networks entering the German market:

The British and International Franchise Exhibition is organized by the Venture Marketing Group and endorsed by the British Franchise Association (BFA). BFA and the German Franchise Association (DFV) are members of the European Franchise Federation (EFF), which has defined the European Code of Ethics for Franchising. All EFF-members use this code for their own franchise-networks membership and quality-management. Yesterday also EFF-members FFF (France) and NFV (Netherlands) held presentations about their franchise-markets.